Expect the stock market to slowly drift higher but not make strong upward moves for the duration of 2011, said Kim Caughey Forrest, VP and senior equity analyst at Fort Pitt Capital Group and Paul Schatz, president of Heritage Capital.
“The S&P should be able to make gains with respect to earnings in this next year, and stock prices should follow, but we don’t think it’s going to be a tremendous year for earnings or the market,” Caughey told CNBC.
In the meantime, Schatz said he expects to see a pullback before stocks rally again.
“Into this earnings season, we’re going to get a quick downdraft on good news—there will be a sell-on-the-news mentality shortly, and people will call the end of the bull market rally—and then stocks re-gather themselves and continue higher for at least the first half of the year and that’s where I see the market peaking.”
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Scorecard—What They Said:
- Forrest's Previous Appearance on CNBC (Dec. 8, 2010)
- Schatz's Previous Appearance on CNBC (Jan. 4, 2011)
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CNBC Data Pages:
Forrest owns shares of Dell and EMC in her Fort Pitt Capital Total Return Fund.
No immediate information was available for Schatz or his firm.